Gov. Whitmer extends suspension of Michigan rental evictions to July 15

Gov. Gretchen Whitmer on Friday extended an order suspending evictions of residential renters for nonpayment until July 15, saying she intends to let it lapse after that date.

The temporary suspension of evictions was put in place as a response to the coronavirus pandemic which has resulted in massive layoffs in Michigan due to stay-at-home orders issued to stop the spread of the virus.

Whitmer also said she has created an Eviction Diversion Program, which is intended to help renters get assistance and establish a payment plan to help them pay or otherwise cover their back rent in order to stay in their homes. Assistance is expected to be available beginning July 16.

“No Michigander should have to worry about losing their home during a global health pandemic and, at the same time, landlords and management companies need rent from their tenants to sustain their businesses,” Whitmer said.

Whitmer said her new program will "save lives, save money, and save businesses by keeping families in their homes and providing immediate financial relief to landlords for back rent they’re due.” 

The executive order she signed Friday will make up to $50 million in rental assistance available to landlords in exchange for allowing tenants to remain in their homes, forgiving late fees for previous nonpayment of rent and covering up to 10% of the past amounts due. 

More:Whitmer extends freeze on residential evictions for non-payment of rent

More:Eviction ban leaves landlords worried about missed payments and their bottom line

Whitmer's office said tenants "whose back rent is not completely covered by the Eviction Diversion Program will be entered into manageable payment plans" provided for under an order issued this month by the state Supreme Court.

Under the program, the state will pay landlords up to 90% of the back rent owed due only to the pandemic, as long as the landlord agrees to drop any eviction action and the tenant pays any non-COVID back amounts. The landlord would also have to agree to forgive 10% of the COVID-related amount owed; the tenant would get a year to pay back any difference between the amount provided to the landlord by the state and the 90% that they can be charged total under the agreement.

The governor had extended to June 30 an earlier order suspending evictions this month just hours before it was set to expire.

Contact Todd Spangler attspangler@freepress.com. Follow him on Twitter@tsspangler. Read more onMichigan politics and sign up for ourelections newsletter.